Cobalt -COB-ARL- HUGE demand 2020+

[JBmurc]

Cobalt Blue Holdings Ltd (NASDAQ:COB) (spun out from Broken Hill Prospecting (NYSE:BPL)) - Price at IPO = AUD 0.20
Cobalt Blue is not yet trading, but should IPO soon with 50m shares at AUD 0.20, raising AUD 10m. The 100% owned Thackaringa cobalt-pyrite project has an inferred resource of 35.7 million tonnes grading 0.084% cobalt (for 30,000 tonnes of contained cobalt). The resource is a shallow deposit continuing at depth, suitable for an open cut mine. The company refers to it as "one of the world's largest undeveloped cobalt resources."

BPL shareholders will receive in-specie distribution of BPL's Cobalt Blue shares (each 4.1682 BPL shares held at the record date receive one COB Share), including loyalty options and priority entitlement in an IPO. Cobalt Blue will buy into the Thackaringa project on a performance based structure. If the maximum of $10 million is raised, the undiluted market capitalisation of Cobalt Blue will be AU$19 million post offer.

Cobalt Blue is targeting a resource of 100 million tonnes at 0.084% cobalt for 84,000 tonnes of contained cobalt. That will support a 20 year operation at 4,000 tonnes pa, and make Cobalt Blue a top five global producer. Definitely one to watch closely......

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